Schrödinger (NASDAQ:SDGR) Shares Gap Down – Should You Sell?

Schrödinger, Inc. (NASDAQ:SDGR) shares gapped down before the market opened on Tuesday . The stock had previously closed at $23.56, but opened at $22.75. Schrödinger shares last traded at $21.29, with a volume of 498,834 shares traded.

Wall Street Analyst Weigh In

A number of research firms have recently weighed in on SDGR. KeyCorp lifted their price target on Schrödinger from $30.00 to $32.00 and gave the company an “overweight” rating in a report on Wednesday, April 16th. Piper Sandler decreased their target price on Schrödinger from $50.00 to $45.00 and set an “overweight” rating on the stock in a report on Thursday, February 27th. One equities research analyst has rated the stock with a hold rating, four have assigned a buy rating and one has issued a strong buy rating to the stock. According to MarketBeat, the stock currently has an average rating of “Buy” and an average price target of $32.80.

Schrödinger Stock Performance

The company has a market cap of $1.56 billion, a price-to-earnings ratio of -9.12 and a beta of 1.84. The firm’s 50-day moving average price is $22.91 and its 200 day moving average price is $22.06.

Schrödinger (NASDAQ:SDGR) last announced its earnings results on Wednesday, May 7th. The company reported ($0.82) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.81) by ($0.01). Schrödinger had a negative return on equity of 35.77% and a negative net margin of 91.84%. The company had revenue of $59.55 million during the quarter, compared to analyst estimates of $54.60 million. During the same period in the previous year, the company posted ($0.86) earnings per share. Schrödinger’s revenue for the quarter was up 62.7% on a year-over-year basis. As a group, equities research analysts predict that Schrödinger, Inc. will post -2.37 EPS for the current fiscal year.

Insider Transactions at Schrödinger

In related news, insider Karen Akinsanya sold 16,723 shares of Schrödinger stock in a transaction that occurred on Monday, April 14th. The shares were sold at an average price of $25.09, for a total transaction of $419,580.07. Following the sale, the insider now directly owns 15,625 shares in the company, valued at $392,031.25. This trade represents a 51.70% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CFO Geoffrey Craig Porges sold 5,491 shares of the stock in a transaction dated Monday, March 3rd. The shares were sold at an average price of $21.76, for a total value of $119,484.16. Following the completion of the sale, the chief financial officer now directly owns 27,544 shares of the company’s stock, valued at approximately $599,357.44. The trade was a 16.62% decrease in their position. The disclosure for this sale can be found here. 8.60% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Schrödinger

A number of hedge funds have recently bought and sold shares of SDGR. Point72 Hong Kong Ltd acquired a new stake in shares of Schrödinger during the 4th quarter worth approximately $27,000. ANTIPODES PARTNERS Ltd acquired a new position in shares of Schrödinger during the first quarter valued at about $37,000. Paradigm Asset Management Co. LLC bought a new position in shares of Schrödinger during the 4th quarter worth about $50,000. PNC Financial Services Group Inc. boosted its holdings in Schrödinger by 29.9% in the first quarter. PNC Financial Services Group Inc. now owns 2,956 shares of the company’s stock worth $58,000 after acquiring an additional 680 shares in the last quarter. Finally, KBC Group NV grew its position in Schrödinger by 73.9% in the 4th quarter. KBC Group NV now owns 4,361 shares of the company’s stock valued at $84,000 after purchasing an additional 1,853 shares during the period. Institutional investors own 79.05% of the company’s stock.

Schrödinger Company Profile

Schrödinger, Inc, together with its subsidiaries, develops physics-based computational platform that enables discovery of novel molecules for drug development and materials applications. The company operates in two segments, Software and Drug Discovery. The Software segment is focused on licensing its software to transform molecular discovery for life sciences and materials science industries.